What is the effective annual rate (EAR) if the stated rate is 8 percent and compounding occurs semiannually?

Q: Find the effective rate of 14% compounded quarterly of a year.

A: Interest refers to the amount that is charged on the lent or borrowed amount as charges for the…

Q: In how many years is required for ₱2,000.00 to increase by ₱3,000.00 if interest at 12% compounded…

A: Given information: Present Value ₱2,000.00 Future value ₱5,000.00 Interest rate 6.00%

Q: For an interest rate of 16 percent per year compounded semi-annually, determine the effective…

A: In this we have to determine interest rate for different situation.

Q: Find the nominal rate that if converted quarterly could be used instead for 15% compounded…

A: Nominal rate with semiannual compounding = 0.15 or 15% Number of semiannual compounding in a year =…

Q: What is the nominal rate if the effective rate is15.32% compounded semi-annually?

A: Effective annual rate (EAR) refers to a real interest rate which an investor is expect from his…

Q: What is the annual compounding rate per semester equivalent to 12.96% annually compounded monthly?

A: Given Information Annual rate =12.96% To find -Annual Compounding rate per semester equivalent to…

Q: Find the nominal rate, which if converted quarterly could be used instead of 12% compounded…

A: Let the nominal rate converted quarterly = r Semiannually compounded rate = i = 12% Compounding…

Q: Find the nominal rate compounded monthly which is equivalent to 12% compounded quarterly. What is…

A: Interest rate = 12% compounded quarterly We need to find the nominal rate compounded monthly which…

Q: An interest of 8% compounded semi annually is how many percent if compounded quarterly?

A: Formula: Effective interest rate=1+rnn-1where,r=nominal raten=number of compounding periods in a…

Q: What effective rate is the equivalent to 15% compounded annually?

A: Effective annual Interest can be computed as follows. EAR = (1 + i/n)n – 1 Here i = Annual rate of…

Q: If the effective annual interest rate is 15% then what is the equivalent annual rate compounded…

A: Effective annual rate (EAR) = 15% Number of compounding per year (m) = 4

Q: Use the given annual interest rate r and the compounding period to find i, the interest rate per…

A: Information Provided: 5.45% compounded monthly

Q: What is the effective annual rate (EAR) for an annual percentage rate (APR) or a nominal annual rate…

A: EAR = [(1+Nominal interest rate/n)^n]-1 where, n = compounding period In case of semi-annual…

Q: What is the rate compounded semi-annually that results in $625 accumulating to $1100 in 42 months?

A: The compounded rate refers to the rate per period. In order to get the compounded rate the annual…

Q: What is the effective annual rate (EAR) of 8% per year, compounded monthly? Select one: O a. 8.66 %…

A: Nominal Interest Rate (r) is 8% Compounding Period is (m) is Monthly i.e. 12

Q: est is paid at a rate of 5% per year, compounded quarterly, what is the effective annual rate?

A: The given problem can be solved using EFFECT function in excel. EFFECT function computes effective…

Q: If the APR is 10% and compounding is monthly, then the Effective Annual Rate is:

A: Using the Effective function in excel

Q: Find the nominal rate compounded semi annually which is equivalent to 20% compounded quarterly. What…

A: Nominal Rate = 20% Compounded Quarterly Number of compounding periods = 4

Q: What is the future value of 24 periodic payments of $4,660 each made at the beginning of each period…

A: Given: Particulars Amount Payment(PMT) $4,660 Periods(NPER) 24 Rate 8%

Q: Determine the effectivene annual yeild for 1 dollar invested for one year at 2 percent compounded…

A: Effective Annual Yield is the equivalent annual rate of return for nominal rate of return with more…

Q: What is the EAR corresponding to a nominal rate of compounded semiannually? Compounded 10%…

A: EAR is effective annual rate i.e. equivalent interest rate for interest rate which are compounded…

Q: ate of a nominal annual rate of 12% compounded

A: The given problem can be solved using EFFECT function in excel. EFFECT function computes effective…

Q: What is the future value of $1000 after 4 years under 10% annual compounding? Semiannual…

A: Future value refers to the worth of the present sum or a series of cash flows at a future date. It…

Q: Use the given annual interest rate r and the compounding period to find i, the interest rate per…

A: GIVEN, annual interest rate (r) = 5.45% frequency of compounding (m) =12 (monthly compounding)

Q: What single amount at the end of the fifth year is equivalent to a uniform annual series of $3,000…

A: Therefore, the future value at the end of 5th year is $27,624.66.

Q: What is the future value of $1,200 in 20 years at an APR of 8.00 percent compounded semiannually?

A: The amount can be calculated with the help of future value function

Q: What is the effective annual rate (EAR) of 8% per year, compounded monthly? Select one: O a. 8.29% O…

A: given, r=8% m = 12 ( monthly compounding)

Q: Red Company is coming up with an investment that pays 8% interest compounded semiannually. What is…

A: Effective Annual rate refers to the rate earned on savings account where compounding is done over a…

Q: What is the effective annual rate for an APR of 15.70 percent compounded monthly?

A: The effective annual Rate will be computed according to the formula..... i=(1+rm)m−1.. Where rm…

Q: Find the effective rate corresponding to the given nominal rate. (Use a 365-day year.) 6%/year…

A: Return on investment is the rate of amount received each period of investment compared to the…

Q: If the rate of interest is 12% compounded annually, find the equivalent rate of interest if it is…

A: Compounding interest is the interest on the initial amount plus interest. As the compounded interest…

Q: What is the effective annual rate of 10 percent compounded semiannually? a) 10.21 percent b) 10.25…

A: In this question we need to compute the effective annual rate of 10% compounded seni-annually.

Q: e annual in

A: Given information : Effective annual interest rate = 8% Compounding period = 26 weeks

Q: Find the effective rate corresponding to the given nominal rate. (Use a 365-day year.) 8%/year…

A: Using excel Effective rate function

Q: From the interest statement of 18% per year, compounded monthly, determine the value for compounding…

A: Compounding period is referred as the period, which is the span of time that are between the…

Q: What is the effective annual rate, with a nominal annual rate of 10%, compounded monthly? - 10.0…

A: Details given in the question are : Nominal annual interest rate = 10% Compounded frequency =…

Q: e annual rate for a nominal annual rate of 12% compounded monthly.

A: The given problem can be solved using EFFECT function in excel. EFFECT function computes effective…

Q: Find the effective annual rate for an investment that pays APR of 4.5% with Annual compounding…

A: The effective rate of interest is the actual rate of interest after compounding. The effective rate…

Q: (a) If the interest rate is 6% per year compounded quarterly, what is the effective annual interest…

A: Information Provided: Interest rate = 6% compounded quarterly   NOTE: As per our policy, we only…

Q: If 8% per year is compounded bi-annually, what is the effective annual rate?

A: The effective annual rate is the rate that has an annual compounding frequency. It is calculated to…

Q: What are the effective annual rates of the following: a) 12% APR compounded monthly? b) 16% APR…

A: Effective Annual Rates (EAR) = ( 1+ APR/m)m - 1 APR = Annual Percentage Rate n = number of…

Q: An interest rate of effective 30% per year .compounded semiannually is nearest to

A: Interest rate per year= 30% Rate of interest when compounded semi annually=?

Q: For a sum of 1,050 to triple itself in 8 years and 6 months, what must be the rate of interest…

A: Investment amount (PV) = 1050 Future value (FV) = 1050*3 = 3150 Period = 8 Years and 6 Months Semi…